To achieve this, marketing strategies will be attacking various fronts. One of them is to maintain concessions and take advantage of cross-selling or merchandisingthat is, launch limited edition products related to box office releases.
“The merchandising It has already become an added value and a differentiator. They are products that run out in less than a week, people look for them, fight for them and collect them. For us this has a positive effect on social networks and they are part of the complete cinema experience”, comments Del Razo.
The manager is also focused on improving his transaction system in e-commerce to make purchases safer, simpler and more efficient. “Before, many of the efforts were only on the screen, now we have to do it from the outside as well. We are working on the entire experience, from when people plan their visit and define what movie to see, where to see it and how they carry out the transaction until after they arrive at the theater”, she assures.
Another front is in the loyalty program and in alliances with other brands. For the manager, who previously worked for The Coca-Cola Company for 20 years in Mexico, Latin America and Asia Pacific, having a range of products and promotions that can be offered to consumers is important.
“We have had a series of interesting innovations, which in addition to attracting consumers, have become consumer actions. For example, more than 10 flavors of popcorn, from companies like Pepsico and brands like Tajín and Oreo. We also created alliances with brands like Starbucks and Hooters for the Market concept. This helps us to get closer to consumers and to create a positive ecosystem of brands”, he says.
The Market concept was launched in 2019. Unlike the traditional format, it has a gastronomic offer, a popcorn laboratory, a milkshake bar, and greater comfort. The first one was located in Artz Pedregal and had an investment of more than 350 million pesos.
The second was opened in July of this year. It required an investment of 147 million pesos and is located in Interlomas. They currently have another one in Galerías Insurgentes, they are remodeling one in Antara and they will open another one in León. By 2023, its opening plan contemplates 14 cinemas, of which three are under the Market concept.
“This concept has helped us a lot to reach the guests in a more sincere way. That keeps us current and in touch with them. Market has been a cornerstone that makes a complete differentiation, in an industry where players offer the same content and rooms look alike, ”she says.
The closing of branches
Del Razo emphasizes that they are being very careful with the openings. In recent years, the Larrea family company has also had to close some cinemas, one of them is the one that was in the National Center for the Arts (CNA).
The manager assures that these closures were not only due to the pandemic. “The pandemic was a second decision factor, many cinemas were already coming, like all businesses, at an advanced age, finally due to their position and others they needed to be relocated, but we have maintained our opening plan”, he affirms. Cinemex has a market share close to 30%, with 337 complexes.
The film industry comes from a pandemic effect. In Mexico, as a result of the confinement and the reduction in capacity, in 2020 only 62 million tickets were sold, when in 2019 335 million tickets were sold, according to the National Chamber of the Film Industry (Canacine).
There is already talk of a recovery, but slow. Until August 15 of this year, theaters in the country managed to sell 121 million tickets, which represent an increase of 124% compared to the second quarter of 2021. In revenue, the Canacine registered 8.126 million pesos (mdp). , that is, 131% growth.
“(Cinemex) is a company that is reinventing itself in processes and in the way it better understands new consumers. It is not that simple, but there is good content, and many of the films that come next year help us as exhibitors to recover people who for a moment stayed at home with a similar experience.
The rise of streaming
Del Razo believes that in the world of entertainment there is room for movies and streaming. However, he acknowledges that they are making a significant effort in social networks so that young people, especially those who were not so exposed to the big screen and who even became content creators on digital channels, want to live the cinematographic experience.
Juan Manuel Ramírez Belloso, marketing expert, director and professor of the postgraduate division of the Banking and Commercial School (EBC), believes that streaming is here to stay and does represent a temporary obstacle for cinemas to recover their audience levels.
However, balance will come, he says. “Cinema is not going to disappear. Its differentiator is in the experience that includes going to this place, from the aromas, the sounds, the screen, the technology. But I think the success of their marketing strategies lies in the sensory. In those sensations that people don’t get when watching a movie at home, ”he reflects.
Beyond promotions and loyalty programs, which are also important, Ramírez Belloso mentions that young people are looking for new experiences, to be surprised and to receive a cost-benefit. “Otherwise, they prefer to stay at home, especially if it’s a Sunday movie.”
For Del Razo, that’s the most challenging thing in the industry. “In addition to recovering the audience, today a good part of consumers is different. To the extent that we can bring them and connect with them through different means, we will be in force for a few more good years ”, he replies.